ELECTION 2016 – LISTEN: While industry experts remained unsurprised at Labour coming just shy of a majority in the Welsh Assembly election, they agreed UKIP winning its first seats will inject an “interesting dynamic”.
Labour is still Cardiff Bay’s largest party with 29 of the 60 seats, while UKIP’s Wales leader Nathan Gill and ex-Tory MPs Neil Hamilton and Mark Reckless are among six UKIP assembly members elected through the regional lists.
Chris Sutton, of JLL and CBI said: “I don’t think any parties will be particularly happy with their performance, except maybe UKIP. They might bring some fresh ideas into the assembly.
“From a business perspective, we are looking for some bold decisions to be made, and leadership. We need is to see the delivery of some key projects and some action.”
He added: “Wales must build upon the significant work already undertaken in supporting regional growth with a fresh impetus to deliver coherent city regions as well as city deals for Cardiff, Swansea and a growth deal for north Wales.”
In a report written for CBI, Chris recommended the government now look to develop an economic strategy by the end of the year, and by summer commit to developing a tax roadmap to maximise the attractiveness of Wales as a place to do business.
John Newton, partner at Tuffin Ferraby Taylor, agreed. He said while it was good to have some “alternative viewpoints in the chamber” from UKIP, the Labour majority represented security that the property industry needs.
“In terms of property, this stability is probably the best result. Any major change – if it had flipped to one other party – it could have caused a period of insecurity,” he said.
“Cardiff has got a momentum of growth at the moment and that needs to keep going. We need to get the infrastructure in place and the government have really got to get in with investment, focusing on the road links around Newport among other things.”
Rhys James, senior director, Cushman & Wakefield, said it should be “business as usual” but the retirement of business minister Edwina Hart could affect the business community.
“First minister Carwyn Jones will have to pick someone to fill her role. She has been the minister behind many business initiatives and it will be interesting to see who will take her place,” he said.
“With the city region initiative being confirmed, there is a real feeling of optimism. There are more cranes in the sky than we have seen for a long time. It is really important we maintain this momentum.”
Click the podcast above to listen to Chris Sutton’s extended analysis of the election results and what they mean for Welsh property professionals.
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